Analysis of Solvency Ratios
Solvency ratios also known as long-term debt ratios measure a company ability to meet long-term obligations.
Solvency Ratios (Summary)
Airbnb Inc., solvency ratios
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to equity ratio | A solvency ratio calculated as total debt divided by total shareholders’ equity. | Airbnb Inc. debt to equity ratio improved from 2021 to 2022 and from 2022 to 2023. |
| Debt to equity ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total shareholders’ equity. | Airbnb Inc. debt to equity ratio (including operating lease liability) improved from 2021 to 2022 and from 2022 to 2023. |
| Debt to capital ratio | A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. | Airbnb Inc. debt to capital ratio improved from 2021 to 2022 and from 2022 to 2023. |
| Debt to capital ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total debt (including operating lease liability) plus shareholders’ equity. | Airbnb Inc. debt to capital ratio (including operating lease liability) improved from 2021 to 2022 and from 2022 to 2023. |
| Debt to assets ratio | A solvency ratio calculated as total debt divided by total assets. | Airbnb Inc. debt to assets ratio improved from 2021 to 2022 and from 2022 to 2023. |
| Debt to assets ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total assets. | Airbnb Inc. debt to assets ratio (including operating lease liability) improved from 2021 to 2022 and from 2022 to 2023. |
| Financial leverage ratio | A solvency ratio calculated as total assets divided by total shareholders’ equity. | Airbnb Inc. financial leverage ratio increased from 2021 to 2022 but then decreased significantly from 2022 to 2023. |
| Solvency ratio | Description | The company |
|---|---|---|
| Interest coverage ratio | A solvency ratio calculated as EBIT divided by interest payments. | Airbnb Inc. interest coverage ratio improved from 2021 to 2022 but then slightly deteriorated from 2022 to 2023 not reaching 2021 level. |
| Fixed charge coverage ratio | A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges. | Airbnb Inc. fixed charge coverage ratio improved from 2021 to 2022 but then slightly deteriorated from 2022 to 2023. |
Debt to Equity
Airbnb Inc., debt to equity calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||
| Current portion of long-term debt | —) | —) | —) | 10) | |
| Long-term debt, net of current portion | 1,991) | 1,987) | 1,983) | 1,816) | |
| Total debt | 1,991) | 1,987) | 1,983) | 1,826) | |
| Stockholders’ equity | 8,165) | 5,560) | 4,776) | 2,902) | |
| Solvency Ratio | |||||
| Debt to equity1 | 0.24 | 0.36 | 0.42 | 0.63 | |
| Benchmarks | |||||
| Debt to Equity, Competitors2 | |||||
| Booking Holdings Inc. | — | 4.51 | 1.77 | 2.46 | |
| Chipotle Mexican Grill Inc. | 0.00 | 0.00 | 0.00 | 0.00 | |
| McDonald’s Corp. | — | — | — | — | |
| Starbucks Corp. | — | — | — | — | |
| Debt to Equity, Sector | |||||
| Consumer Services | — | — | 18.97 | — | |
| Debt to Equity, Industry | |||||
| Consumer Discretionary | 1.37 | 1.54 | 1.52 | 2.37 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
1 2023 Calculation
Debt to equity = Total debt ÷ Stockholders’ equity
= 1,991 ÷ 8,165 = 0.24
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to equity ratio | A solvency ratio calculated as total debt divided by total shareholders’ equity. | Airbnb Inc. debt to equity ratio improved from 2021 to 2022 and from 2022 to 2023. |
Debt to Equity (including Operating Lease Liability)
Airbnb Inc., debt to equity (including operating lease liability) calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||
| Current portion of long-term debt | —) | —) | —) | 10) | |
| Long-term debt, net of current portion | 1,991) | 1,987) | 1,983) | 1,816) | |
| Total debt | 1,991) | 1,987) | 1,983) | 1,826) | |
| Operating lease liabilities, current | 61) | 59) | 63) | 57) | |
| Operating lease liabilities, noncurrent | 252) | 295) | 372) | 431) | |
| Total debt (including operating lease liability) | 2,304) | 2,341) | 2,418) | 2,313) | |
| Stockholders’ equity | 8,165) | 5,560) | 4,776) | 2,902) | |
| Solvency Ratio | |||||
| Debt to equity (including operating lease liability)1 | 0.28 | 0.42 | 0.51 | 0.80 | |
| Benchmarks | |||||
| Debt to Equity (including Operating Lease Liability), Competitors2 | |||||
| Booking Holdings Inc. | — | 4.75 | 1.85 | 2.56 | |
| Chipotle Mexican Grill Inc. | 1.32 | 1.58 | 1.53 | 1.56 | |
| McDonald’s Corp. | — | — | — | — | |
| Starbucks Corp. | — | — | — | — | |
| Debt to Equity (including Operating Lease Liability), Sector | |||||
| Consumer Services | — | — | 27.13 | — | |
| Debt to Equity (including Operating Lease Liability), Industry | |||||
| Consumer Discretionary | 1.72 | 1.94 | 1.90 | 2.84 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
1 2023 Calculation
Debt to equity (including operating lease liability) = Total debt (including operating lease liability) ÷ Stockholders’ equity
= 2,304 ÷ 8,165 = 0.28
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to equity ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total shareholders’ equity. | Airbnb Inc. debt to equity ratio (including operating lease liability) improved from 2021 to 2022 and from 2022 to 2023. |
Debt to Capital
Airbnb Inc., debt to capital calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||
| Current portion of long-term debt | —) | —) | —) | 10) | |
| Long-term debt, net of current portion | 1,991) | 1,987) | 1,983) | 1,816) | |
| Total debt | 1,991) | 1,987) | 1,983) | 1,826) | |
| Stockholders’ equity | 8,165) | 5,560) | 4,776) | 2,902) | |
| Total capital | 10,156) | 7,547) | 6,758) | 4,727) | |
| Solvency Ratio | |||||
| Debt to capital1 | 0.20 | 0.26 | 0.29 | 0.39 | |
| Benchmarks | |||||
| Debt to Capital, Competitors2 | |||||
| Booking Holdings Inc. | 1.24 | 0.82 | 0.64 | 0.71 | |
| Chipotle Mexican Grill Inc. | 0.00 | 0.00 | 0.00 | 0.00 | |
| McDonald’s Corp. | 1.13 | 1.19 | 1.15 | 1.26 | |
| Starbucks Corp. | 2.08 | 2.41 | 1.57 | 1.96 | |
| Debt to Capital, Sector | |||||
| Consumer Services | 1.06 | 1.06 | 0.95 | 1.09 | |
| Debt to Capital, Industry | |||||
| Consumer Discretionary | 0.58 | 0.61 | 0.60 | 0.70 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
1 2023 Calculation
Debt to capital = Total debt ÷ Total capital
= 1,991 ÷ 10,156 = 0.20
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to capital ratio | A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. | Airbnb Inc. debt to capital ratio improved from 2021 to 2022 and from 2022 to 2023. |
Debt to Capital (including Operating Lease Liability)
Airbnb Inc., debt to capital (including operating lease liability) calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||
| Current portion of long-term debt | —) | —) | —) | 10) | |
| Long-term debt, net of current portion | 1,991) | 1,987) | 1,983) | 1,816) | |
| Total debt | 1,991) | 1,987) | 1,983) | 1,826) | |
| Operating lease liabilities, current | 61) | 59) | 63) | 57) | |
| Operating lease liabilities, noncurrent | 252) | 295) | 372) | 431) | |
| Total debt (including operating lease liability) | 2,304) | 2,341) | 2,418) | 2,313) | |
| Stockholders’ equity | 8,165) | 5,560) | 4,776) | 2,902) | |
| Total capital (including operating lease liability) | 10,469) | 7,901) | 7,194) | 5,215) | |
| Solvency Ratio | |||||
| Debt to capital (including operating lease liability)1 | 0.22 | 0.30 | 0.34 | 0.44 | |
| Benchmarks | |||||
| Debt to Capital (including Operating Lease Liability), Competitors2 | |||||
| Booking Holdings Inc. | 1.22 | 0.83 | 0.65 | 0.72 | |
| Chipotle Mexican Grill Inc. | 0.57 | 0.61 | 0.61 | 0.61 | |
| McDonald’s Corp. | 1.10 | 1.14 | 1.10 | 1.18 | |
| Starbucks Corp. | 1.48 | 1.58 | 1.29 | 1.46 | |
| Debt to Capital (including Operating Lease Liability), Sector | |||||
| Consumer Services | 1.04 | 1.05 | 0.96 | 1.07 | |
| Debt to Capital (including Operating Lease Liability), Industry | |||||
| Consumer Discretionary | 0.63 | 0.66 | 0.65 | 0.74 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
1 2023 Calculation
Debt to capital (including operating lease liability) = Total debt (including operating lease liability) ÷ Total capital (including operating lease liability)
= 2,304 ÷ 10,469 = 0.22
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to capital ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total debt (including operating lease liability) plus shareholders’ equity. | Airbnb Inc. debt to capital ratio (including operating lease liability) improved from 2021 to 2022 and from 2022 to 2023. |
Debt to Assets
Airbnb Inc., debt to assets calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||
| Current portion of long-term debt | —) | —) | —) | 10) | |
| Long-term debt, net of current portion | 1,991) | 1,987) | 1,983) | 1,816) | |
| Total debt | 1,991) | 1,987) | 1,983) | 1,826) | |
| Total assets | 20,645) | 16,038) | 13,708) | 10,491) | |
| Solvency Ratio | |||||
| Debt to assets1 | 0.10 | 0.12 | 0.14 | 0.17 | |
| Benchmarks | |||||
| Debt to Assets, Competitors2 | |||||
| Booking Holdings Inc. | 0.59 | 0.49 | 0.46 | 0.55 | |
| Chipotle Mexican Grill Inc. | 0.00 | 0.00 | 0.00 | 0.00 | |
| McDonald’s Corp. | 0.73 | 0.74 | 0.66 | 0.71 | |
| Starbucks Corp. | 0.52 | 0.53 | 0.47 | 0.54 | |
| Debt to Assets, Sector | |||||
| Consumer Services | 0.52 | 0.53 | 0.49 | 0.56 | |
| Debt to Assets, Industry | |||||
| Consumer Discretionary | 0.34 | 0.35 | 0.36 | 0.41 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
1 2023 Calculation
Debt to assets = Total debt ÷ Total assets
= 1,991 ÷ 20,645 = 0.10
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to assets ratio | A solvency ratio calculated as total debt divided by total assets. | Airbnb Inc. debt to assets ratio improved from 2021 to 2022 and from 2022 to 2023. |
Debt to Assets (including Operating Lease Liability)
Airbnb Inc., debt to assets (including operating lease liability) calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||
| Current portion of long-term debt | —) | —) | —) | 10) | |
| Long-term debt, net of current portion | 1,991) | 1,987) | 1,983) | 1,816) | |
| Total debt | 1,991) | 1,987) | 1,983) | 1,826) | |
| Operating lease liabilities, current | 61) | 59) | 63) | 57) | |
| Operating lease liabilities, noncurrent | 252) | 295) | 372) | 431) | |
| Total debt (including operating lease liability) | 2,304) | 2,341) | 2,418) | 2,313) | |
| Total assets | 20,645) | 16,038) | 13,708) | 10,491) | |
| Solvency Ratio | |||||
| Debt to assets (including operating lease liability)1 | 0.11 | 0.15 | 0.18 | 0.22 | |
| Benchmarks | |||||
| Debt to Assets (including Operating Lease Liability), Competitors2 | |||||
| Booking Holdings Inc. | 0.62 | 0.52 | 0.48 | 0.57 | |
| Chipotle Mexican Grill Inc. | 0.50 | 0.54 | 0.53 | 0.53 | |
| McDonald’s Corp. | 0.95 | 0.97 | 0.92 | 0.98 | |
| Starbucks Corp. | 0.83 | 0.84 | 0.75 | 0.84 | |
| Debt to Assets (including Operating Lease Liability), Sector | |||||
| Consumer Services | 0.71 | 0.72 | 0.70 | 0.78 | |
| Debt to Assets (including Operating Lease Liability), Industry | |||||
| Consumer Discretionary | 0.43 | 0.44 | 0.45 | 0.50 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
1 2023 Calculation
Debt to assets (including operating lease liability) = Total debt (including operating lease liability) ÷ Total assets
= 2,304 ÷ 20,645 = 0.11
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to assets ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total assets. | Airbnb Inc. debt to assets ratio (including operating lease liability) improved from 2021 to 2022 and from 2022 to 2023. |
Financial Leverage
Airbnb Inc., financial leverage calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||
| Total assets | 20,645) | 16,038) | 13,708) | 10,491) | |
| Stockholders’ equity | 8,165) | 5,560) | 4,776) | 2,902) | |
| Solvency Ratio | |||||
| Financial leverage1 | 2.53 | 2.88 | 2.87 | 3.62 | |
| Benchmarks | |||||
| Financial Leverage, Competitors2 | |||||
| Booking Holdings Inc. | — | 9.12 | 3.83 | 4.47 | |
| Chipotle Mexican Grill Inc. | 2.63 | 2.93 | 2.90 | 2.96 | |
| McDonald’s Corp. | — | — | — | — | |
| Starbucks Corp. | — | — | — | — | |
| Financial Leverage, Sector | |||||
| Consumer Services | — | — | 38.83 | — | |
| Financial Leverage, Industry | |||||
| Consumer Discretionary | 4.00 | 4.38 | 4.26 | 5.72 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
1 2023 Calculation
Financial leverage = Total assets ÷ Stockholders’ equity
= 20,645 ÷ 8,165 = 2.53
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Financial leverage ratio | A solvency ratio calculated as total assets divided by total shareholders’ equity. | Airbnb Inc. financial leverage ratio increased from 2021 to 2022 but then decreased significantly from 2022 to 2023. |
Interest Coverage
Airbnb Inc., interest coverage calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||
| Net income (loss) | 4,792) | 1,893) | (352) | (4,585) | |
| Add: Income tax expense | (2,690) | 96) | 52) | (97) | |
| Add: Interest expense | 83) | 24) | 438) | 172) | |
| Earnings before interest and tax (EBIT) | 2,185) | 2,013) | 137) | (4,510) | |
| Solvency Ratio | |||||
| Interest coverage1 | 26.33 | 83.88 | 0.31 | -26.27 | |
| Benchmarks | |||||
| Interest Coverage, Competitors2 | |||||
| Booking Holdings Inc. | 7.11 | 11.03 | 5.39 | 2.59 | |
| Chipotle Mexican Grill Inc. | — | — | — | — | |
| McDonald’s Corp. | 8.73 | 7.48 | 8.70 | 6.04 | |
| Starbucks Corp. | 10.82 | 9.76 | 12.40 | 3.66 | |
| Interest Coverage, Sector | |||||
| Consumer Services | 9.69 | 10.10 | 7.78 | 2.60 | |
| Interest Coverage, Industry | |||||
| Consumer Discretionary | 12.27 | 9.45 | 13.29 | 7.81 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
1 2023 Calculation
Interest coverage = EBIT ÷ Interest expense
= 2,185 ÷ 83 = 26.33
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Interest coverage ratio | A solvency ratio calculated as EBIT divided by interest payments. | Airbnb Inc. interest coverage ratio improved from 2021 to 2022 but then slightly deteriorated from 2022 to 2023 not reaching 2021 level. |
Fixed Charge Coverage
Airbnb Inc., fixed charge coverage calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||
| Net income (loss) | 4,792) | 1,893) | (352) | (4,585) | |
| Add: Income tax expense | (2,690) | 96) | 52) | (97) | |
| Add: Interest expense | 83) | 24) | 438) | 172) | |
| Earnings before interest and tax (EBIT) | 2,185) | 2,013) | 137) | (4,510) | |
| Add: Operating lease cost | 58) | 77) | 83) | 91) | |
| Earnings before fixed charges and tax | 2,243) | 2,090) | 221) | (4,419) | |
| Interest expense | 83) | 24) | 438) | 172) | |
| Operating lease cost | 58) | 77) | 83) | 91) | |
| Fixed charges | 141) | 101) | 521) | 263) | |
| Solvency Ratio | |||||
| Fixed charge coverage1 | 15.91 | 20.69 | 0.42 | -16.81 | |
| Benchmarks | |||||
| Fixed Charge Coverage, Competitors2 | |||||
| Booking Holdings Inc. | 6.09 | 8.12 | 3.82 | 2.03 | |
| Chipotle Mexican Grill Inc. | 4.71 | 3.98 | 3.23 | 1.88 | |
| McDonald’s Corp. | 4.62 | 3.92 | 4.32 | 3.28 | |
| Starbucks Corp. | 3.51 | 3.08 | 3.61 | 1.58 | |
| Fixed Charge Coverage, Sector | |||||
| Consumer Services | 4.75 | 4.32 | 3.66 | 1.60 | |
| Fixed Charge Coverage, Industry | |||||
| Consumer Discretionary | 4.98 | 3.70 | 5.63 | 3.72 | |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
1 2023 Calculation
Fixed charge coverage = Earnings before fixed charges and tax ÷ Fixed charges
= 2,243 ÷ 141 = 15.91
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Fixed charge coverage ratio | A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges. | Airbnb Inc. fixed charge coverage ratio improved from 2021 to 2022 but then slightly deteriorated from 2022 to 2023. |